The Data Room: A Powerful Tool for Business Development and Data Protection

data protection

In today’s era of digital disruption, organizations increasingly rely on digital platforms for secure sharing, tight access controls, and efficient yet secure information sharing. Virtual data rooms close a critical gap here thanks to their security and transparent user-friendliness. Here is more about it.

Data room software – a secure workspace for your business

The IT security situation remains tense, and the number of cyber attacks is steadily increasing. In addition to private households, companies, organizations, and authorities are particularly affected. It is also confirmed by the current study by the industry association Bitkom. Nine out of ten companies were victims of a cyber-attack last year. Around 68 percent of the companies surveyed state that cybercriminals have stolen communication data. One of the most significant gateways for cybercriminals is the unsecured exchange of sensitive information. By intercepting unencrypted e-mails and attached files, attackers collect essential information that they use, for example, to create fraudulent phishing e-mails. At first glance, these e-mails appear legitimate, but behind the displayed, trustworthy-looking sender, there is usually a different address. As soon as employees click on the secure link or open a manipulated attachment, ransomware is imported into the systems.

To protect their systems from cyber attacks, more and more companies, organizations, and authorities rely on virtual data rooms for data exchange and secure collaboration. These highly secure online document storage and collaboration areas enable multiple users to access files from anywhere. They can usually store there without size restrictions and share them internally or across company boundaries. But not every virtual data room offers the same range of functions. File and folder management, data protection, digital rights management, document storage, or user-friendliness can vary.

Data room benefits for your business development

Let’s analyze the most significant data room benefits:

  • Location-independent access

Employees and project participants can access virtual data rooms from anywhere. Whether you’re on a laptop at home or on the go with your smartphone, it doesn’t matter. The secure storage and transfer of confidential business information are never in jeopardy. The files are stored encrypted in almost unlimited sizes and released for selected colleagues, partners, or customers. For internationally operating companies, virtual data rooms are also an acceptable way to make sensitive or time-critical information available to many project participants across departmental and location boundaries for reading and editing.

  • Secure operation in the cloud

There is much to be said for operating virtual data rooms in a cloud, as the security standard of cloud providers is generally higher than that of company servers. Since the responsibility for maintaining and creating backups lies with the data room provider, updates and new features are automatically installed, usually overnight, to avoid unnecessary downtime. The systems are always up to date, and possible weak points are efficiently closed. In addition, professional, highly secure data centers and compliance with legal requirements such as the GDPR are standard here.

  • Efficient data management

All you have to do is upload your files with a simple drag-and-drop and store them in the online storage of your business management software. After you do this, all your documents are completely secure and ready to be handed off to your team, partners, investors, and anyone who needs to use them.

  • Online collaboration

The data room is perfect for collaboration. The data room owner can add team members or other people who need access to information. After adding new users, you can manage the roles and actions they can perform in the data room. In addition, the database owner can see what other users have done with the files, how much time they have spent working, and other valuable data.

Share
Published
Categorized as Blog